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7 Pages

Marathon increases Eagle Ford position with US$750 million acquisition

Marathon increases Eagle Ford position with US$750 million acquisition

Report summary

Marathon is increasing its already considerable footprint in the liquids rich sections of the Eagle Ford Shale play in South Texas. It will acquire Paloma Partners II, a partnership led by private E&P player Paloma Resources, and funded by EnCap and Macquarie. A cash consideration of US$750 million will be paid, in return for 17,000 net acres and 7,000 boe/d (70% liquids) of flowing production. Our valuation points to this being an excellent bolt-on acquisition for Marathon. We value ...

What's included?

This report includes 1 file(s)

  • Marathon increases Eagle Ford position with US$750 million acquisition PDF - 403.26 KB 7 Pages, 7 Tables, 2 Figures


The upstream oil and gas industry conducts activities against a backdrop of growing energy and environmental challenges. Political instabilities, international conflicts and government and environmental regulation have all impacted the production process.

This has forced companies to re-examine their corporate strategy, moving away from high-risk exploratory drilling to lower-risk exploration in mature basins as they search for increased returns.

This Upstream Oil and Gas Deal Insight report provides an in-depth analysis of this deal. You will also find information about upstream assets and the strategic rationale behind the deal.

For investors and businesses, this deal insight report provides an understanding of the effect this deal will have on the market, including oil and gas pricing and assumptions. Use it to keep up to date with deal announcements, gain expert insights and analyse potential developments that might affect your strategy.

Wood Mackenzie goes beyond company-reported data and announcements to give you an independent and informed view. Our unique valuation metrics are underpinned by our deep understanding of upstream assets and companies. We help you objectively benchmark and evaluate asset and corporate deals so you can compare deal economics around the world.

  • Executive summary
  • Transaction details
  • Upstream assets
  • Deal analysis
  • Upsides and risks
  • Strategic rationale
    • Marathon
    • Paloma Partners II LLC
  • Oil & gas pricing and assumptions

In this report there are 9 tables or charts, including:

  • Executive summary
    • Executive summary: Table 1
  • Transaction details
  • Upstream assets
    • Upstream assets: Table 1
  • Deal analysis
    • Deal analysis: Table 1
    • Deal analysis: Table 2
    • Deal analysis: Table 3
  • Upsides and risks
    • Wood Mackenzie base NPV10 sensitivity to liquid and gas volumes
  • Strategic rationale
    • Eagle Ford deals - unadjusted acreage costs
  • Oil & gas pricing and assumptions
    • Oil & gas pricing and assumptions: Table 1
    • Oil & gas pricing and assumptions: Table 2
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